In a FIR filed with BS&FC, two LoUs were issued by PNB employees Gokulnath Shetty and Hemant Kharat, who were also named in the complaint filed against Nirav Modi’s companies, to Chandri Papers and Allied Products worth Rs 9,000 crore.

In a letter to the Central Bureau of Investigation (CBI), one of the lead agencies probing the alleged loan fraud, the jeweller said the seizure of his assets, bank accounts and the shutting down of all his offices in India has caused prejudice against him.

The brokerage warned that state-run banks, which are typically the largest investors in sovereign securities, could lose more than 200 billion rupees ($3.1 billion) in the January-March quarter, due to a continued spike in bond yields and as they held more bonds than are required by the regulator.